ECONOMY: Cyprus credit card spending spiked 16% in July to EUR 415 mln

A strong 16% increase was recorded in credit card transactions in July, reflecting consumer confidence while tax and other online payments to the state played a significant part in the upswing.

According to new JCC data, the value of Cyprus credit card transactions in the domestic market increased by 16% in July to Euros 415 mln compared to last year.

In the first seven months (January to July) Euros 2.2 bln has been spent using credit cards, an increase of 20% annually. This follows on from an overall 33% hike in 2018.

The sectors that witnessed the largest volumes were government payments, utilities, supermarkets, restaurants, bars. Meanwhile, there was a decrease in plastic money spent at Do-It-Yourself and Household stores.

Government sector increases were due to the Inland Revenue Department payments and without these payments, the total monthly increase would be reduced to 7% for July.

Sales and cash withdrawals of Cypriots with credit cards abroad, including online purchases, was up 10% to Euros 172.5 mln in July.

Foreign card transactions (sales) increased 22% in July to Euros 155.3 mln for the year to date it was also up 18% to Euros 695 mln.

Cyprus cards used in Turkey and the occupied north of the island reached Euros 2.6 mln in July and a combined Euros 14.9 mln for the first seven months.

Source: The Financial Mirror